Aristotle Atlantic Partners, LLC, an investment advisor, released its “Core Equity Strategy” third quarter 2024 investor letter. A copy of the letter can be downloaded here. The U.S. equity market continued to climb to new record highs, with the S&P 500 Index increasing by 5.89% during this time. Ten of the eleven sectors in the S&P 500 Index experienced gains, with Utilities and Real Estate at the forefront. Conversely, Energy and Information Technology were the least successful sectors. Aristotle Atlantic’s Core Equity strategy returned 3.19% gross of fees (3.09% net of fees) in the quarter underperforming the S&P 500 Index’s 5.89% total return. The relative underperformance was due to security selection. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2024.
Aristotle Core Equity Strategy highlighted stocks like Intercontinental Exchange, Inc. (NYSE:ICE) in the third quarter 2024 investor letter. Intercontinental Exchange, Inc. (NYSE:ICE) offers market infrastructure, data services, and technology solutions for financial institutions, corporations, and government entities. The one-month return of Intercontinental Exchange, Inc. (NYSE:ICE) was -3.97%, and its shares gained 42.20% of their value over the last 52 weeks. On November 7, 2024, Intercontinental Exchange, Inc. (NYSE:ICE) stock closed at $156.11 per share with a market capitalization of $89.635 billion.
Aristotle Core Equity Strategy stated the following regarding Intercontinental Exchange, Inc. (NYSE:ICE) in its Q3 2024 investor letter:
“Intercontinental Exchange, Inc. (NYSE:ICE) contributed to portfolio performance in the third quarter, driven by continued strength in the company’s Exchanges segment and expectations that the Mortgage Technology segment’s revenues have troughed ahead of an eventual recovery in U.S. housing market activity. Exchanges’ revenues continue to be driven by growth in energy and interest rate futures trading volumes, with energy trading activity expected to remain elevated, primarily bolstered by increasing data center-driven electricity demand.”
An executive in a suit on the floor of a trading exchange, with screens of stock prices in the background.
Intercontinental Exchange, Inc. (NYSE:ICE) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 70 hedge fund portfolios held Intercontinental Exchange, Inc. (NYSE:ICE) at the end of the second quarter which was 64 in the previous quarter. Intercontinental Exchange, Inc.’s (NYSE:ICE) third quarter net revenues totaled $2.3 billion, including record transaction revenues of $1.1 billion and record recurring revenues of $1.2 billion. While we acknowledge the potential of Intercontinental Exchange, Inc. (NYSE:ICE) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
In another article, we discussed Intercontinental Exchange, Inc. (NYSE:ICE) and shared the list of top stocks that are poised to disrupt their industries by 2030 with technology according to investment bank UBS. In addition, please check out our hedge fund investor letters Q3 2024 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.